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Roundup: Hydropower extension, wind project access, energy transition roadmap and more
![Roundup: Hydropower extension, wind project access, energy transition roadmap and more](https://cdnimg.bnamericas.com/YVrFXAWHBdSKMQIfyDmYZbobQqXQyKZvDlBdGFwfTCjfUVxOIDQFexQIGmaFqCxr.jpeg)
Hydropower plant contracts
Argentina’s federal energy department has ordered private sector companies to keep running five hydroelectric power stations amid discussion over their future operating model.
The contracts for the plants expired last year. A subsequent step involves "competitive and transparent" tenders to find operators in the medium-term, a resolution states.
Contracts have been previously extended.
In a resolution, for four plants whose last contract extension ended May 18, the federal energy department extended the date to August 11. This is for El Chocón and Arroyito, both operated by Enel; Alicurá, operated by AES Argentina; and Cerro Colorados, recently acquired by Aconcagua Energía from Orazul Energy.
The last contract extension for Piedra del Aguila, operated by Central Puerto, is due to expire on June 27 and the firm is now required to remain in control until December 29.
State energy company Energía Argentina will continue playing an oversight role.
Concessionaires can be ordered to continue operating plants for up to 12 months from the original expiry date, in this case from August and December 2023.
Neuquén province, along with neighboring Río Negro – home to the facilities – has previously requested an active role in the administration of the plants. In 2022, the provinces “ratified the convenience and need to intervene in anything related to the administration, operation, maintenance, commercial usage and conservation of hydroelectric facilities.”
Neuquén has a bill in congress that establishes a canon payment for water used for hydropower generation.
Wind project wholesale power market access
Akuo Energy Argentina sought wholesale power market access authorization for its 101MW Balcarce wind project in Buenos Aires province.
The US$100mn project is in the development phase with no construction launch date yet, BNamericas was told last month.
Balcarce did not obtain priority transmission dispatch in a 2022 auction. Priority dispatch is sought by projects looking to participate in the Mater term market.
Accelerated energy transition roadmap
Chilean grid coordinator CEN will update over the coming weeks its roadmap for an accelerated energy transition, local daily DF reported, citing comments made by CEN board chair Juan Carlos Olmedo.
The document, first published in 2022, is designed to support preparations for a 100% renewable power grid from 2030.
Retirement of coal-fired plants has occurred faster than originally expected.
Today, about 1.8GW of coal capacity has been retired, or around 30% of the original fleet of 5.5GW. By the end of 2026, based on announced company plans, the share of capacity retired could reach 65%.
Storage systems, along with flexibility solutions, are necessary to support the exit of coal.
Ancillary services tender
The six parties that qualified to participate in Chile’s ancillary services auction all submitted economic offers, media outlet Energía Estratégica reported.
CEN officials opened economic bids on Friday and an associated tender report with the bid details is due for publication this week.
The aim is to support system reliability in the north of the grid as thermoelectric units are taken offline and penetration of renewables grows.
Earlier this year, one of the bidders, AES Andes, was told by environmental review agency SEA that it did not have to submit for environmental review a synchronous condenser conversion project planned for its retired Nueva Tocopilla thermoelectric plant.
BIDDERS
Winning parties would carry out power infrastructure work and operate the system, with required investment originally estimated at US$260mn.
Two solutions are proposed: connection of synchronous condensers and the reconversion of existing generation facilities to comply with voltage control requirements.
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News in: Electric Power (Chile)
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